US Senate lawmakers have introduced a new amendment to the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, mandating secondary tariffs of up to 100 per cent on goods imported from the top five largest buyers of Russian crude oil and natural gas.

This measure directly exposes major importers such as India and China to sweeping trade levies. The amendment is designed to intensify economic restrictions on Moscow by targeting nations that continue to purchase Russian energy, thereby sustaining Russia’s military campaign in Ukraine.

The underlying legislation was passed by the Senate on 7 August with an overwhelming 86-11 vote. The House Committee on Rules, one of the oldest standing committees in the US House of Representatives, is currently processing the newly introduced Senate amendments.

While the bill does not explicitly name Russia’s trading partners, it specifically targets the five largest importers of Russian oil and gas by volume.

Section 113 of the statutory text outlines mandatory ad valorem trade duties. It stipulates that within 30 days of enactment, the US President must increase the rate of duty for all goods imported from countries identified under subsection (c) to a rate of up to 100 per cent ad valorem. Subsection (c) defines a covered country as any nation that knowingly made new purchases of Russian crude oil or natural gas after enactment and ranks among the top five importers by volume during the preceding 12 months, or is among the top five countries facilitating Russian oil sanctions evasion.

India, as one of the largest buyers of Russian seaborne crude alongside China, falls directly under this volume-based trigger. Section 113(f) clarifies that any duty imposed under this section will be in addition to existing duties, fees, taxes, or charges applicable to the goods.

The amendment also grants the United States Trade Representative statutory authority under Section 113(b) to adjust duty rates between zero and 100 per cent if a country takes significant steps to either increase or decrease its imports of Russian energy.

Section 113(d) provides a specific exception for natural gas imports, exempting countries whose Russian natural gas imports constitute less than 15 per cent of Russia’s total annual exports, provided they are actively reducing reliance. However, no such exception exists for crude oil buyers, leaving India and China particularly vulnerable to tariff impositions.

Section 115(a) provides executive authority for waivers, allowing the US President to waive sanctions or duties if deemed in the national interest. Such waivers require written certification to Congress.

Beyond tariffs, the Act institutes sweeping measures against Russian leadership, financial institutions, and maritime networks.

Blocking sanctions and visa revocations will apply to Russia’s top leadership, including the President, Prime Minister, Defence Minister, and senior military commanders. Foreign entities supplying critical items such as CNC tools, lubricant additives, chemical coatings, advanced sensors, and fibre optic cables to Russia’s defence industrial base will also face sanctions.

The legislation further targets Russia’s “shadow fleet” by blocking foreign vessels and sanctioning individuals or companies transporting Russian energy without adequate maritime insurance or those evading price caps established by the Price Cap Coalition.

Severe financial prohibitions are also mandated, including blocking all property and restricting correspondent accounts for the Central Bank of Russia, Sberbank, VTB Bank, and Gazprombank. Foreign financial institutions engaging in significant transactions with these entities will face penalties.

This amendment represents a significant escalation in Washington’s economic campaign against Moscow, while simultaneously placing India’s energy security and trade relations with the US under considerable strain.

The outcome will depend on how New Delhi balances its national energy requirements with the mounting pressure from Washington.

ANI